Scarborough Junction to Add 340 Affordable Homes Near GO Transit
A major housing development planned for Scarborough is moving forward with a commitment to deliver 340 affordable homes as part of a larger transit-oriented community near the Scarborough GO Station.
The Ontario government is investing up to $178 million through the Building Ontario Fund (BOF) to help advance the Scarborough Junction project, which is expected to include approximately 1,700 purpose-built rental homes. Twenty per cent of those units — about 340 homes — are targeted to be affordable rentals offered at below-market rates for 40 years.
Located on underused land adjacent to the GO station, the development is envisioned as a mixed-use community that will eventually include approximately 7,700 homes, parks, public spaces and community amenities.
Why It Matters
Affordable housing continues to be one of the GTA’s most pressing challenges, particularly for renters facing rising housing costs and limited availability.
The Scarborough Junction project stands out because it combines a significant affordable housing commitment with a large-scale rental development. While many projects focus primarily on market-rate housing, this development includes a long-term affordability component designed to remain in place for four decades.
The affordable housing targets were established with the intention of meeting eligibility requirements for City of Toronto affordable housing programs, helping ensure a portion of the development remains accessible to residents who might otherwise struggle to find housing near transit.
Building a New Community
Beyond the housing numbers, Scarborough Junction is designed as a complete community.
Plans for the broader development include thousands of homes, public gathering spaces, parks and community amenities built around one of Scarborough’s key transit connections. Residents will have direct access to GO Transit services, supporting a growing emphasis on locating housing near existing transportation infrastructure.
As Toronto continues to grow, developments like Scarborough Junction demonstrate how underutilized land around transit stations can be transformed into new neighbourhoods that support both housing supply and sustainable urban growth.
Unlocking the Development
The project is being advanced through a partnership between the Building Ontario Fund, Republic Developments and Harlo Capital.
According to the province, the investment helps move forward a project that had previously stalled due to market conditions. The Building Ontario Fund was created to help close financing gaps for priority infrastructure and housing projects that might not otherwise proceed.
Once the investment is repaid, the funds can be reinvested into future projects across Ontario.
Looking Ahead
Construction on Scarborough Junction is expected to begin in 2027, with the first residents anticipated to move into completed buildings by 2030.
As housing demand continues to increase across Toronto and the broader GTA, the project represents another significant addition to the region’s affordable housing pipeline and a major step toward creating a new transit-connected community in Scarborough.
Keys to the City is GTA Weekly’s ongoing editorial series highlighting affordable housing projects, purpose-built rental developments and community-building initiatives across the Greater Toronto Area.
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